Summary
This 8-K filing from American Express (AXP) on July 15, 2016, provides updated delinquency and write-off statistics for its U.S. Consumer Services (USCS) and U.S. Small Business segments for the months ending April, May, and June 2016, as well as the second quarter of 2016. The report focuses on card member loans held for investment, offering key performance indicators that are crucial for assessing credit quality and risk within the company's loan portfolios. Investors should note the slight increase in 30-day delinquencies for both USCS and U.S. Small Business segments in June 2016, reaching 1.1% for both, compared to 0.9% in April and May. However, the net write-off rate for USCS improved to 1.3% in June from 1.6% in May, while the U.S. Small Business write-off rate remained stable at 1.2% for the month. The filing also includes comparative data for the American Express Credit Account Master Trust, highlighting potential differences in reporting methodologies and portfolio characteristics.
Key Highlights
- 1Provided updated delinquency and write-off statistics for U.S. Consumer Services (USCS) and U.S. Small Business segments for the periods ending April, May, and June 2016.
- 2Reported a slight increase in 30-day past due loans for USCS to 1.1% in June 2016, up from 0.9% in prior months.
- 3Showcased a decrease in the net write-off rate for USCS to 1.3% in June 2016, an improvement from 1.6% in May 2016.
- 4The U.S. Small Business segment also saw its 30-day past due loans increase to 1.1% in June 2016, while its net write-off rate declined to 1.2% in June.
- 5Total loans held for investment across both USCS and U.S. Small Business segments grew to $53.2 billion by June 30, 2016.
- 6Included preliminary data for the three months ended June 30, 2016, offering a quarterly view of credit performance.
- 7Provided comparative data and commentary on the American Express Credit Account Master Trust, acknowledging differences in reporting and portfolio characteristics.